Tag: starter credit cards

How to get your first credit card at 18

For first time applicants looking to build credit on credit cards, there are ten credit cards that stand head and shoulders above the pack. If you’re a first time credit card holder, your credit card is the number one step to building a payment record. Your credit score may or may not qualify you for car loans, mortgage or lines of credit. And it will determine the rate of interest you’re charged if you apply for and receive financing of any kind.

The good news is that changes in credit card laws have been passed with the intent of protecting you and others from rogue lending practices. However, it’s up to each individual to make sure their credit file indicates to lenders they are a good or reasonable risk when applying for a loan. Remember to pay all of your bills and expenses on time. All it takes is one or more late payments to lower your credit score.

The following credit cards, which include prepaid debit cards, are great for people with no credit or a limited credit history. It allows them to build credit on credit cards they choose. Federal laws also protect predatory lending practices to people under 21 unless the card applicant can show he or she has the ability to repay.

The following ten credit cards are recommended for first time applicants:

Applied Bank Secured Visa Credit Card – This credit card comes with a moderate price tag. But balance transfers are not allowed and there are redeemable awards for air travel and roadside assistance. There’s also a relatively high APR and is available to anyone regardless of credit standing.

Capital One Cash Rewards Average Credit ­– Cardholders receive a 50% bonus on cash back earned every year. Cash rewards never expire.

Capital One Secured Master Card­ – No application or processing fess required and offers a credit line up to $3000. This is card is accepted a millions of locations around the world. Card holders can also track their own purchases.

Orchard Bank Visa – Accepted a millions of locations worldwide and reports to three major credit bureaus. Check your account information with ease and get reminded of payments by text messages.

Prepaid Visa Purple Diamond Rush Card – No credit checks required. Applicants are 100% guaranteed approval. Cardholders can change plans whenever the need arises and there’s no fee charged on direct deposits. Use the card to make purchases and pay bills. It also comes with a free prescription card.

First time credit cardholders should make every attempt to use their card wisely. Why? Because they may have their credit card for years and every purchase and payment is recorded on their credit report and will remain there for many years.

Credit scores are checked on everything, from buying a home or renting an apartment, to everyday purchases and applying for a job. Remember to spend wisely if you’ve been approved for your first credit card. Credit penalties could affect your life for years to come.